Another Brilliant Plan Out of WI

[Riot]

Originally Posted by wiphan

Total debt is budgeted to increase from $11.9 trillion in FY2009, to $13.8 trillion in FY2010, and $15.1 trillion in FY2011. Where did he cut the budget?

Within military and discretionary spending.

Why is the bottom line increasing? Because Bush started unfunded wars, unfunded drug Rx givaway and unfunded tax cuts. We had to borrow money to pay for those things, with interest.

The expense of borrowing to pay for those items and the interest make up a good portion of our current budget deficit, and keep increasing (cost of Iraq spread over 10 years, etc).

Bush increased our spending markedly, while decreasing our real income. Then we had to borrow, with interest, over time, to pay for all of it. And that interest is accumulating.

So attributing a bottom line increase in the budget to Obama isn't accurate - a major portion the budget is borrowed money with interest, to keep making payments on things when Bush gave out the tax cuts without cutting spending.

We had to borrow the money with interest to make up for our income loss.

We had to borrow money with interest to pay for the wars, and the drug giveaway.

And those costs were not paid for during the Bush administration, they are carried out over years, with the interest compounding onto whomever comes subsequently.

So the bottom line increases, even as the budget is cut. That is why spending cuts alone, without raising our revenue, will never, ever put us in the black.

The facts are the greatest part of our deficit is the money we borrow with interest to replace the revenue lost with the tax cuts, because spending was not cut at that time (the cuts were not paid for) The other great cost was the money borrowed with interest to pay for the unfunded wars.